EMPRETEC ENTREPRENEURSHIP INTRODUCTION

This guide has been developed to help those who participated in the
Empretec Entrepreneurship Training Workshop (ETW) to put their learning into
practice, by reviewing the 10 Personal Entrepreneurial Competencies (PECs) that
make business people successful entrepreneurs, the guide provides participants
with a practical tool that will help them to assess their strengths and weaknesses.
A number of questions will guide the readers through the distinguishing traits
of each of the 30 behaviors they have practiced since they completed the training.
They may well find that some competencies need attention and practice to be
further developed.
In a similar way, other questions will encourage the entrepreneurs to think about
how to practically turn behaviors into habits and apply them to their businesses
development.
ABOUT EMPRETEC
The programme aims to enhance productive capacity and international
competitiveness for the benefit of economic development, poverty eradication and
equal participation of developing countries in the world economy.
A pioneering United Nations programme in developing entrepreneurship is
Empretec from the Spanish for emprendedores (entrepreneurs) and tecnologa
(technology). Empretec is a mechanism that instills behavioural change into a select
group of promising entrepreneurs. It is dedicated to helping promising
entrepreneurs put their ideas into action and helping fledgling businesses to grow.
The Empretec methodology (developed uniquely at Harvard University) identifies 10
key areas of competencies related to entrepreneurial development. These include:
opportunity-seeking and initiative; persistence; fulfilment of commitments; demand
for quality and efficiency; calculated risks; goal-setting; information-seeking;
systematic planning and monitoring; persuasion and networking; and independence
and self-confidence.
Associated with these skills are a series of behavioural indicators found to be
the most useful for detecting and strengthening entrepreneurial potential. Through
behavioural change, Empretec has nurtured almost 150,000 entrepreneurs in 29
developing countries (including six least developed countries (LCDs)), with the help
of more than 600 local certified trainers.
Empretec is managed by the UNCTAD secretariat in Geneva, Switzerland.
EMPRETEC METHODOLOGY
The Empretec methodology is based on the research conducted by a
psychologist from Harvard University, Professor David McClelland, who had done
extensive work on entrepreneurship since the late 1950s. His research
demonstrated that everyone had inner motivation to improve. This motive for
action was called an archetype by McClelland. He classified the 40 archetypes in
three motivational main types, led by the achievement, affiliation or power drive.
Achievement
The motive for achievement is a need that makes people accomplishes great
things. They love challenges. They want to drive themselves so that they are
capable of doing what they aim to do. The desire to achieve is evident in all aspects
of their personal and professional lives.
Affiliation
We all have a relative in our family who loves to organize the New Years Eve
get-together. Their motive is a tremendous need for aggregation. Entrepreneurs
love this lifestyle and love to associate with important people in the community.
Power
Entrepreneurs love the freedom and independence of being their own boss.
Entrepreneurs have to be free to pursue their own ideas, follow their own road. They
are the movers and shakers, the people who make things happen. Can this motive,
the need for achievement, be taught to people? Based on McClellands research, a
number of training programmes have been developed for business people to
increase their achievement motivation.

Personal Entrepreneurial Competencies (PECS)

The Entrepreneurship Workshop

This workshop is based upon research funded by the United States Agency for
International Development (USAID) which was conducted by McBer and Company
(David McClellands consulting firm) and MSI (United States) to determine the
behavioural competencies which distinguish successful entrepreneurs from less
successful entrepreneurs.
Focused interviews lasting four hours were conducted with hundreds of
entrepreneurs in a number of countries. The research team then compared the
answers, the discussions and the way of thinking and behaving of these different
groups in order to understand what it was that was really different about the
personal competencies, the actions and the thoughts of the successful
entrepreneurs.
Finally, after months of testing, they came to understand that there were
certain common competencies, from one country to another and from one business
to another, which all the successful entrepreneurs had.
These competencies were called Personal Entrepreneurial Competencies or
PECs. The Empretec training programme is about those PECs.
THE FIRST CLUSTER
Achievement
1. Opportunity-seeking and initiative
An entrepreneur is someone who seeks opportunities. Where other people
see problems, entrepreneurs see opportunities and take the initiative to transform
these opportunities into profitable business situations.
They demonstrate the following behaviours:
Do things before being asked or forced to by events;
Take action to extend the business into new areas, products or
services; and
Seize unusual opportunities to start a new business, obtain financing,
equipment, land, work space or assistance.
2. Persistence
Entrepreneurs have the determination to persevere in the face of obstacles.
When most people tend to abandon an activity, entrepreneurs stick with it.
They demonstrate the following behaviours:
Take action in the face of significant obstacles and challenges;
Take persistent actions, or switch to an alternative strategy to meet a
challenge or obstacle; and
Take personal responsibility for the performance necessary to
achieve goals and objectives.
3. Fulfilling commitments
Entrepreneurs always do what they say they will do. They always keep their
promises, no matter how great the personal sacrifice.
They demonstrate the following behaviours:
Make a personal sacrifice and extraordinary effort to complete a job;
Pitch in with employees, or take their place if needed, to get a job
done; and
Strive to keep customers satisfied and place long-term goodwill
above short-term gain.
4. Demand for quality and efficiency
This has to do with passion: being obsessed by the need to improve quality,
to do something better, faster or cheaper. This passion is reflected in the integrity of
entrepreneurs and the pride they have in their work.
They demonstrate the following behaviours:
Find ways to do things better, faster and cheaper;
Act to do things that meet or exceed standards of excellence; and

Personal Entrepreneurial Competencies (PECS)

 Develop and use procedures to ensure that work is completed on

time and that work meets agreed-upon standards of quality.
5. Taking calculated risks.
Taking calculated risks is one of the primary concepts in entrepreneurship,
the element that makes them entrepreneurs. They are willing to take risks.
They demonstrate the following behaviours:
Deliberately calculate risks and evaluate alternatives;
Take action to reduce risks and/or control outcomes; and
Place themselves in situations involving a challenge or moderate risk.
THE SECOND CLUSTER
Planning
1. Goal-seeking
This is the most important competency because none of the rest will function
without it. Entrepreneurs know what they want. They know where theyre going in
business. Theyre always thinking about the future and set goals.
They demonstrate the following behaviours:
Set goals and objectives which are personally meaningful and
challenging;
Articulate clear and specific long-term goals; and
Set measurable short-term objectives.
2. Information-seeking
Entrepreneurs do not like uncertainty or assumptions. They dont like to count
on others for information. It seems that an entrepreneur spends a lot of time
gathering information about their clients, suppliers, technology and opportunities.
They demonstrate the following behaviours:
Personally seek information from customers, suppliers and
competitors;
Do personal research on how to provide a product or service; and
Consult experts for business or technical advice.
3. Systematic planning and monitoring
Systematic means in an orderly, logical way. Planning is deciding what you
are going to do. Monitoring means checking. It is, in fact, what a business plan is
for: to see if something is feasible prior to trying it.
Entrepreneurs demonstrate the following behaviours:
Plan by breaking large tasks down into sub-tasks with clear timeframes;
Revise plans in light of feedback on performance or changing
circumstances; and
Keep financial records and use them to make decisions.
THIRD CLUSTER
Power
1. Persuasion and networking
Entrepreneurs use a definite strategy for influencing other people to follow
them or do something for them. A successful persuasion strategy depends upon all
parties involved, that is, the entrepreneur and the people he is trying to persuade.
Entrepreneurs demonstrate the following behaviours:
Use deliberate strategies to influence and persuade others;
Use key people as agents to achieve own objectives; and
Take action to develop and maintain a network of business contacts.
2. Independence and self-confidence
This competency concerns entrepreneurs quiet self-assurance in their
capability or potential to do something. It is an internal confidence that is reflected
Personal Entrepreneurial Competencies (PECS)

by the challenges they choose to undertake in life. Being self-confident means

taking total responsibility for making things happen.
They demonstrate the following behaviours:
Seek autonomy from the rules and/or control of others;
Attribute the causes of successes and failures to oneself and to ones
own conduct; and
Express confidence in their ability to complete a difficult task or to
face a challenge.
This guide is a practical tool that will help you to assess your strengths and
weaknesses and to further improve your entrepreneurial performance.
Now is your opportunity to review the 10 Personal Entrepreneurial
Competencies (PECs) that make business people successful entrepreneurs.

Personal Entrepreneurial Competencies (PECS)